People have been turning out in Picton to get a glimpse of the stranded Aratere, which is visible from parts of the seaside town.
One local watching the grounded ferry on Saturday morning said the current Interislander fleet was too old.
"It's totally embarrassing - we're just a third-world country when you have this sort of thing happen.
"Wrong decisions have been made."
More than 100 Picton residents were out watching the grounded ferry from a lookout point off Queen Charlotte Drive above the town this morning.
Another Picton resident said ferry failures were happening too often.
He was at home when he heard a rumble about 10pm, which he thought was an earthquake.
The front of the ferry was "well up and looks buried into the bank, so it's obviously gone in at some speed and they haven't had time to hit reverse", he said.
It was really embarrassing for the government and some new ferries "would be nice", the local resident added.
The eight passengers and crew from aboard the stranded vessel were taken safely ashore in Picton around 11.30am on Saturday, with fresh crew swapping onto the Aratere.
One of the truck drivers who spent the night on the ship said the crew had been awesome.
"It's just one of those things that happens."
He said he was looking forward to getting back to work and would be back in Picton next week.
"If they all get their heads together now, upstairs in the old government department and really have a good look at things."
At a KiwiRail media stand up, a passerby yelled out that Prime Minister Christopher Luxon was to blame, for cancelling the new ferries.
Authorities were planning to refloat the stranded Aratere, with the next attempt on the high tide at 9pm.