Great Journeys New Zealand is the tourism division of KiwiRail that operate its three Scenic train services (TranzAlpine, Northern Explorer and Coastal Pacific).

A consulting study commissioned by the NZRC and carried out by Booz Allen Hamilton recommended re-orientation of long-distance passenger services toward tourist operations.

[6] West Coast Rail withdrew several long-distance trains that were not profitable, retaining the routes that had sufficient passenger numbers (see below).

In July 2004 the 50% share of Tranz Scenic was purchased by Toll, as one of the West Coast Railway directors had died and the business was not performing adequately.

[7] In May 2008 the New Zealand Government agreed to buy the rail and sea transport assets of Toll NZ Limited for $665 million.

The new brand, named KiwiRail Scenic Journeys, was launched with new AK-class carriages designed to showcase New Zealand's scenery,[9] as well as providing long-distance passenger train services.

Meanwhile, KiwiRail's ferry brand, Interislander, was building on its core business taking vehicles and freight across Cook Strait and looking to promote the trip as an iconic tourism experience and a scenic alternative to flying.

KiwiRail trialled excursions with its refurbished Silver Fern railcar to destinations including Napier and on the now mothballed Gisborne line as part of its Explore By Rail trips.

[18] In March 2009, the New Zealand Government confirmed funding of NZ$39.9 million for 17 AK Class carriages for the TranzAlpine and Coastal Pacific.