Interislander says it cannot reschedule bookings made on its Kaiarahi ferry, potentially stranding passengers.
The ferry developed an engineering problem on Monday, and has been taken out of service while repairs are done.
A spokesperson for the Interislander said that was expected to take a few days and affected passengers will be refunded.
Meanwhile, the company said its Kaitaki ferry will remain a freight only service until at least Friday.
About 5000 people and 1500 cars have been affected by problems on the Kaitaki - since it lost power and became stranded in the Cook Strait last month.
Interislander executive general manager Walter Rushbrook said Kaitaki lost power because of a fault with the engine's cooling system.
"The root cause was a fault in the ship's engine cooling system. As is common in ships, there is one water cooling system which is connected to all four of the main ship engines and also to the engines that run the generators for electricity."
A leak in a connection caused a loss of pressure, and sensors had automatically shut down the engines to protect them from overheating.
The connection was repaired and all the other components of the cooling system had been checked and tested, Rushbrook said.