MAC-Telnet suggests you are on the same L2 network.. But what does 'one at a time' mean?
"This isn't a problem for most of our customer's CPEs because they have an updated IP service address list that includes more addresses."
This part suggests you are connecting using a IP address that isn't on the access list.
"To figure out which IP addresses had to be included in the list I started adding addresses to a customer's router from the updated list one at a time and testing if I could Winbox in and found that I was able to only after adding a subnet that included the WAN IP address of the customer's router."
Huh? How exactly are you using the MAC connection? What steps do you do, to connect?
"This list was created before I started working here and I am the only network engineer so I have no one to ask about it."
If you are the only network engineer, design and set it up as you think it should be. Some initial work may be required to accomplish the task, but it will only need to be done once..
There are 500 units you can't access in your normal way but "most" of the network is no problem... At minimum, most would be 501 units, so the company you work for has 1000+ customers and you are the only network engineer?
"MAC-Telnet suggests you are on the same L2 network.. But what does 'one at a time' mean?"
I am able to mac-telnet into the customer's routers because our core router is on the same layer2 network. I have to Winbox into the core router and then mac-telnet into the customer's routers from that router. "One at a time" means exactly what it implies. A tedious process where I have to manually type in MAC addresses and credentials to log in. Network automation is a good thing you should look into it.
"This part suggests you are connecting using a IP address that isn't on the access list."
This is an incorrect assumption and I stated in my original post that my IP address IS in the access list. This is why I was confused as to why my connection was being refused. But as @Sob correctly ascertained, and I had already posted about before you decided to post your response, the issue was with address translation.
"Huh? How exactly are you using the MAC connection? What steps do you do, to connect?"
Winbox --> Tools --> Telnet --> MAC Telnet --> eureka!
"If you are the only network engineer, design and set it up as you think it should be. Some initial work may be required to accomplish the task, but it will only need to be done once.."
How exactly am I supposed to "design and set it up as I think it should be" if I can't access these routers? The whole point of this is so that I can access the routers and do so.
"There are 500 units you can't access in your normal way but "most" of the network is no problem... At minimum, most would be 501 units, so the company you work for has 1000+ customers and you are the only network engineer?"
Yes.