He said service medals for the fallen were also being considered. "We're looking at their operational service. I don't know what the outcome will be, but we are slowly going through that."
Thomas served the Defence Force in the 1960s and 1970s, including in Vietnam. The petition came after a request from his mother to bring home his brother Adrian, a member of the original SAS squad, who was killed in action and buried in Kuala Lumpur, Malaysia, in 1956.
Peters also served in Vietnam, and is related to soldier Ike King, buried in Terendak, Malaysia.
The change in Government policy in March followed lobbying from the families as well as the RSA, highlighting the inconsistency in repatriation policy between 1955 and 1971. Repatriation after 1971 was publicly funded.
New Zealand disinterment teams - including archaeologists, forensic anthropologists and dentists - are working with the Malaysian armed forces to reconcile the remains of the 28 bodies.
"It is a big issue for Malaysia, because they recognise that these people have died in support of their independence," Short told the committee.
He said a large ceremony involving senior ministers and Defence Force staff was expected before the remains leave Malaysia. There would be a ceremony once the remains touch down in New Zealand before they are handed back to the families.
The Defence Force would also provide support for reinterment. "We estimate that the cost will be well within the $10m that was stated in the March Cabinet paper."