Eight passengers and twelve of the crew onboard the grounded Interislander ferry are currently disembarking and are en route to Picton, executive general manager Interislander Duncan Roy has said in a statement.
The ferry will no longer be refloated this morning, Marlborough mayor Nadine Taylor told RNZ.
It was previously hoped the ferry would be refloated during high tide after 9am today after having spent the night grounded in a bay near Picton.
"The refloating of Aratere has been delayed until this evening’s high tide at around 9pm to allow more time to prepare the ship and make use of a higher tide," said Roy.
Taylor, who is acting as spokesperson for the harbourmaster, said divers will head out again this morning to get more information about where on the bottom of the vessel the ship is grounded.
The ferry ran aground shortly after leaving Picton around 9.45pm due to a steering failure, Roy confirmed to 1News last night.
Eight commercial vehicle drivers and 39 crew were on board at the time of the incident. Roy said the ferry is carrying trucks and general freight.
Although it can carry up to 600 passengers, the incident occurred during a freight only sailing with no other passengers. Roy confirmed to RNZ everyone on board is "self-sufficient until the morning".
There are no injuries and the vessel is watertight.
Last night's incident ferry marked the latest in a series of incidents which have plagued the vessel in its 25 years crossing the Cook Strait.
The Maritime Union told RNZ it is startling to see how an Interislander ferry ran aground near Picton.
GPS imagery shows how the vessel has just peeled off course and run into the land, Maritime Union spokesperson Victor Billot said.
He says it is fortunate it was a freight-only voyage.
"If it had been a passenger sailing then it could have been more complicated.
"But we've still got a group of people aboard the vessel, most of them are the crew, a lot of them are Maritime Union members and members of other organisations.
"The passengers there I believe are drivers for the trucks."
Billot says Aratere carries rail freight and it's unclear what the grounding will mean for the inter-island connection.
Port Marlborough says the harbourmaster has set up an exclusion zone in the harbour and has been patrolling throughout the night.
Maritime New Zealand will investigate the cause of the crash.
Speaking to RNZ, MetService said the weather shouldn't hinder efforts to refloat the vessel.
Rain is expected to hit the area later this morning, according to meteorologist Clare O'Connor.
She said conditions are calm with no swells and light winds.
High tide was expected shortly after 9am.
Inquiry set to open
The Transport Accident Investigation Commission is opening an inquiry into the incident, it has been confirmed.
Chief investigator of accidents, Naveen Kozhuppakalam, is appointing a team of investigators who will be on site later today.
"We’re gathering all the usual evidence and data for the start of this sort of investigation – including bridge voice and voyage data recordings and any video footage," said Kozhuppakalam.
"Our investigators will be inspecting the ship, seeking and recovering electronic records and interviewing vessel crew, port authorities, and witnesses.
"Getting the facts straight is vital, so we’re keen to hear from passengers on board – especially those who have relevant video footage."
The TAIC opens an inquiry when it believes the circumstances of an accident or incident have - or are likely to have - significant implications for transport safety, or when the inquiry may allow the Commission to make findings or recommendations to improve transport safety.
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The Commission's purpose is to improve transport safety by avoiding repeat accidents, rather than by ascribing blame
Additional reporting by rnz.co.nz.
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