Let's calculate the Lapplacian of
\[\Phi(r) = \frac{q}{4\pi \varepsilon_0 r} e^{-r/\lambda_D} \]
\[
\begin{split}
\Delta \Phi &= \frac{q}{4\pi \varepsilon_0 r^2} \frac{d}{dr}
\left( r^2 \left[ -\frac{e^{-r/\lambda_D}}{r\lambda_D} - \frac{e^{-r/\lambda_D}}{r^2} \right] \right)
= -\frac{q}{4\pi \varepsilon_0 r^2} \frac{d}{dr} \left( \left[ \frac{r}{\lambda_D} + 1 \right] e^{-r/\lambda_D}\right) =\\&=
-\frac{q}{4\pi \varepsilon_0 r^2} \left( \frac{1}{\lambda_D} e^{-r/\lambda_D} - \left[ 1 + \frac{r}{\lambda_D} \right] \frac{1}{\lambda_D} e^{-r/\lambda_D} \right) = \frac{q}{4\pi \varepsilon_0 r \lambda_D^2} e^{-r/\lambda_D} = \frac{\Phi(r)}{\lambda_D^2}
\end{split}
\]
Substitution into the equation, introduced in the problem, gives us
\[ \frac{\Phi(r)}{\lambda_D^2} \simeq \frac{e \langle n \rangle}{\varepsilon_0} \left[ 1 + \frac{e \Phi}{k_\text{B} T} - 1 + \frac{e\Phi}{k_\text{B} T}\right] = \frac{2e^2 \langle n \rangle \Phi(r)}{\varepsilon_0 k_\text{B} T}.\]
Finally,
\[\lambda_D = \sqrt{\frac{\varepsilon_0 k_\text{B} T}{2e^2\langle n \rangle}}\]
The number $N_\text{loc}$ could be estimated as the number of particles in the sphere with radius equal to the Debye length:
\[ N_\text{loc} = 2 \langle n \rangle \cdot \frac{4}{3} \pi \lambda_D^3 = \frac{8\pi}{3 \langle n \rangle^{1/2}} \left( \frac{\varepsilon_0 k_\text{B}T}{2e^2} \right)^{3/2} \]
We have the second Newton's law $m\vec{a} = -e\tilde{E}e^{-i \omega t}$. A straight integration over time gives us
\[\vec{v} = \vec{v}_0 + \frac{e\tilde{E}}{i m \omega} e^{-i\omega t}, \quad \Rightarrow \quad \vec{j}_t = \frac{ie^2n}{m\omega} \vec{E}_0,\]
where we use that $\vec{v}_0=0$ i.e. it the absence of the $\tilde{E}$ electrons don't move. In the result we have:
\[\tilde{\varepsilon}=1-\frac{e^2n}{m\varepsilon_0 \omega^2}\]
The relative permittivity $\varepsilon$ connects $P$ and $E$:
\[P = \varepsilon_0 (\varepsilon-1) E\]
and if $\varepsilon=0$ it means that the electric field $E$ is completely generated by the local dipoles! We can also note that the relative perimittivity $\tilde{\varepsilon}$ doesn't have an imaginary part, so $\tilde{\varepsilon}=\varepsilon$. Finally, the circular frequency corresponding to zero relative permittivity is:
\[\omega= \sqrt{\frac{m \varepsilon_0}{e^2 n}}.\]