The first Grand Slam of the year kicks off at Melbourne Park with the men's world number-one ranking at stake and a new women's champion set to be crowned after Ashleigh Barty's shock retirement following her win last year.

Spanish-great Nadal, 36, has lost six of his past seven matches, including his opening two this year, ahead of a difficult afternoon clash on Rod Laver Arena against the United Kingdom's in-form Jack Draper.

"Probably one of the toughest first-round [games] possible, being seeded," said the 22-time Grand Slam winner and top seed. "Young, powerful, growing very, very fast on the ranking, playing well."

The fast-improving Draper, 21, made the semi-finals of the Adelaide International this week and said he would not be overawed, despite Nadal being an idol.

"I want to go and compete hard and really play well and I want to go and win the match, of course. So that will be the plan," he said.

Nadal surged to the title last year with a thrilling five-set win over Russia's Daniil Medvedev, who faces American Marcos Giron on center court in an evening match.

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