Some areas in a city, town or communities do setup some form of local security like vigilante, night watchers... and so on.

If their is such in your area:

How much do you contribute?
How well do people contribute?
Is it voluntary to contribute? If no
How do you tackle defaulters?
How much are the security paid?
How bad is the situation before the setup? E.g theft, burglary...
Does the security setup really helps?

In my new place I find out they want to form such after a recent robbery incident in the area. And I think it looks somehow sha.

First only few people(17 boys) were recruited. Just some local boys holding probably matchet and knives.
Secondly the area is too large for there number

Third, 1 major entrance to the area was baracade but there are tons of other exit and entrance to the area can be used by car, foot or train

Lastly rent for a room and a parlour sef is even around 100-170k depending on the test. Security fee is 2k5 per month for each room or apartment. Whooping 30k per year. Imagine those in face me I face you or self contain paying half or more than their rent as security fee. How is this even realistic.

This is a place in a state capital in North Central. Not some borno or zamfara oo