The Government says it'll set up a new company to procure two new Cook Strait ferries to replace the ageing Interislander fleet.  

It's been under pressure to offer alternatives after scrapping plans for rail-enabled ferries and upgraded port infrastructure about a year ago. 

Finance Minister Nicola Willis says they'll get two smaller ferries by 2029, but commercial sensitivities mean the cost can't be revealed. 

Winston Peters has also been appointed as the Minister for Rail. 

Infrastructure NZ CEO Nick Leggett told Matt Heath and Tyler Adams the announcement gives some details on the direction the Government is going for the ferries.  

He says it does look a lot cheaper than what was previously announced, and Winston Peters believes in getting a bang for your buck. 

It is a good step, Leggett says, but further details will be needed,

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