The grounding of the Aratere ferry is a wake-up call for the coalition government to invest in new vessels and infrastructure, critics say.
Finance Minister Nicola Willis cancelled the contract for new ferries after the budget blew out to nearly $3 billion.
"The Interislander has been in dire straits of late with countless cancellations, delays and now a ship stranded," said Green Party transport spokesperson Julie Anne Genter.
"We call on the government to commit to deliver replacement ships for the Cook Strait crossing by the next election. It's time to stop playing the blame game with KiwiRail."
Genter said Willis' "reckless decision" to cancel the contract for new ferries without an alternative plan in place was "disastrous".
"In what has become a hallmark of this coalition government, it has thrown all of its transport eggs into the roading basket, failing to adequately invest in rail and low-carbon, low-cost forms of transport.
She said the government had to present real solutions rather than making excuses.
"The thing is, this government knows all too well that the Interislander ferries aren't fit for long term purpose.
"Yet sadly, while they allow the conditions to fester, a maritime disaster grows more likely."
Government made 'massive error' cancelling ferry contract - union
The Maritime Union says if the steering had failed on the Aratere during bad weather or when it was in the Cook Strait, the outcome could have been disastrous.
Its national secretary Carl Findlay said the government made a massive error cancelling the iRex project.
"The Interislander ferries are at end of life, and there have been repeated incidents, such as the loss of power on the Kaitaki last year.
"If this incident does not shake the government out of its complacency about the need for investment in new vessels and infrastructure, what will it take?"
Findlay said refloating the vessel would be a difficult and complex operation.
The union had been in touch with crew members aboard the Aratere, he said.
Meanwhile, Ia Ara Aotearoa Transporting New Zealand said this was the "latest, worrying development" in "longstanding and persistent maintenance issues" of the Interislander fleet.
"This is another example of a major failure of a ferry in just over 18 months, after the Kaitaki lost power off Wellington last year," said its interim CEO Dom Kalasih.
" The road freight sector has demonstrated considerable resilience in dealing with ferry disruptions, but we need to see an enduring solution achieved as soon as possible."
He said these sorts of disruptions should not be happening.
"We need the expert Ministerial Advisory Group tasked with providing independent advice and assurance on the future of KiwiRail's inter-island ferry service to progress with urgency, and then see a swift response from the government and KiwiRail."