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Smoke that sparked a mayday call and the evacuation of those on board Island Direct ferry Te Waiora near Waiheke Island was caused by an exhaust issue on an engine, not a fire, a spokeswoman says.

Eighteen passengers – who could be seen wearing bright orange lifejackets – and six crew were forced to transfer from Te Waiora on to a Coastguard Auckland boat after the alarm was raised soon after the 22m catamaran left Matiatia Wharf for Auckland at 3.30pm yesterday.

Te Waiora is Island Direct’s second ferry on the lucrative Waiheke-Auckland route since the company started services to the popular island half an hour’s sailing from downtown Auckland in November 2023.

The ferry, which began service one day before yesterday’s incident, struck trouble soon after leaving the wharf.

“[It was] an exhaust issue on one of its engines”, the spokeswoman said.

“The resulting smoke was initially reported as a fire, and our engineers have now confirmed there was no fire.”

Those on board Island Direct's Waiheke Island ferry Te Waiora donned lifejackets before they were rescued. Photo / RNZ

One passenger told the Herald the first sign of trouble was when sirens began to blare.

“Before we’d even got out of the harbour, the alarms are screaming and I can smell it, smell smoke.

“They put the anchor down and shut the engine off and then we sat around for ages and then Coastguard came and evacuated us.”

The woman was unimpressed with the response of Island Direct staff.

An experienced sailor, she helped four passengers into their life jackets.

“I’m going to be talking to Maritime New Zealand. There’s a bit of training necessary, obviously.”

Island Direct director David Todd said as part of the company’s standard safety procedures they were “thoroughly reviewing” the incident, and took passenger feedback seriously.

”We have already established the crew followed their emergency training by immediately shutting down the engine, anchoring the vessel, and coordinating with Coastguard NZ and Maritime NZ for a precautionary evacuation, while instructing and helping all passengers put on their life jackets.

“While we understand that any unexpected event at sea can be unsettling, passenger safety and clear communication are our top priorities.”

They were proud of how the crew handled the situation and prioritised passenger safety, Todd said.

“We’ve received positive feedback from a passenger on board about how the situation was managed by our crew.”

The Herald also asked the company for more information on the impact to future Te Waiora sailings since yesterday’s incident, but has not yet received a response.

Island Direct is a partnership between two families, David and Tanya Todd, and the Bourke family of Hauraki Express.

The company’s entrance into the Waiheke-Auckland route in 2023 broke the monopoly of Fullers360, which had long raised tensions over prices on what is a busy route for islanders and visitors.